XAUUSD – Gold Is Holding The Buy Order Zone, But 4,120 Is The Real Test
Gold is showing a stronger recovery after reacting from the strong support area around 3,960.
Price is now trading near 4,069 after forming a clear bounce from the lower zone. The short-term structure has improved, and buyers are trying to build momentum above the buy order area around 4,036.
But the chart is now entering an important test. Gold has recovered well, but the next resistance zones will decide whether this is the start of a stronger bullish continuation or just another corrective move before sellers return.
FUNDAMENTAL ANALYSIS
Gold remains sensitive to the U.S. dollar, Treasury yields, and market expectations around interest rates. After the recent decline, the current rebound may be supported by technical buying from lower levels and short-term profit-taking from sellers.
For now, the technical structure is giving the clearest signal. Price has reacted from support, but buyers still need to break through the resistance zones before the bullish view becomes stronger.
TECHNICAL ANALYSIS – SMC + FIBONACCI
From an SMC perspective, gold has respected the strong support zone near 3,960 and created a strong bullish reaction. This shows that sellers lost momentum at the lower area, while buyers started to defend the market.
The current buy order zone around 4,036 is very important. As long as gold stays above this area, the short-term bullish recovery remains valid.
The recent pullback also respected the Fibonacci reaction area, showing that buyers are trying to hold structure instead of allowing price to fall back into the previous low. This gives the chart a cleaner recovery setup.
The first resistance is around 4,090 – 4,100. If gold breaks above this area, the next major resistance sits around 4,115 – 4,125. This zone is important because it aligns with the previous reaction area and could decide whether buyers can continue the move.
Above that, the stronger sell price reaction zone is around 4,155 – 4,165. If gold reaches this area, sellers may defend again, so confirmation is still needed before expecting a full bullish breakout.
KEY PRICE ZONES TO WATCH
Current price: 4,069
Buy order zone: 4,036
Short-term support: 4,036 – 4,045
Nearest resistance: 4,090 – 4,100
Key resistance: 4,115 – 4,125
Sell price reaction zone: 4,155 – 4,165
Strong support: 3,960 – 3,970
Bullish continuation target: 4,155 – 4,165
Invalidation for short-term bullish view: Below 4,036
TRADING SCENARIOS
Buy Scenario – Priority Recovery View
If gold continues to hold above the 4,036 buy order zone, I will watch for a bullish continuation setup.
Buy Zone: 4,036 – 4,045
Entry: Bullish rejection, liquidity sweep, lower-timeframe bullish CHoCH, or strong bullish displacement from the buy zone
SL: Below 4,036 or below the nearest swing low
TP1: 4,090 – 4,100
TP2: 4,115 – 4,125
TP3: 4,155 – 4,165
Breakout Buy Scenario
If gold breaks and holds above 4,100, buyers may continue pushing price toward the higher resistance zone.
Buy Condition: Clean breakout above 4,100, followed by retest and bullish confirmation
Target: 4,115 – 4,165
Sell Scenario – Reaction From Resistance
Sell is not the first view while gold stays above 4,036. However, if price reaches 4,115 – 4,165 and shows rejection, a short-term pullback may appear.
Sell Zone: 4,115 – 4,165
Entry: Bearish rejection, failed breakout, or lower-timeframe bearish CHoCH
TP1: 4,090
TP2: 4,045
TP3: 4,036
Invalidation: If price breaks and holds above 4,165, the sell reaction idea becomes weaker.
MY VIEW ON GOLD
My current view for gold is short-term bullish recovery while price holds above 4,036.
The chart has improved after the bounce from strong support, and buyers are now trying to build a cleaner continuation structure. But the real test is not the current price. The real test is how gold reacts around 4,100 and 4,115 – 4,125.
If buyers break these levels with strength, gold may continue toward the 4,155 – 4,165 sell reaction zone. But if rejection appears there, the market may pull back again to retest the buy order area.
For now, gold is recovering — but the next resistance will tell us whether buyers are truly in control.
Do you think gold can break above 4,125 and continue toward 4,165, or will sellers defend the resistance again?
Gold is showing a stronger recovery after reacting from the strong support area around 3,960.
Price is now trading near 4,069 after forming a clear bounce from the lower zone. The short-term structure has improved, and buyers are trying to build momentum above the buy order area around 4,036.
But the chart is now entering an important test. Gold has recovered well, but the next resistance zones will decide whether this is the start of a stronger bullish continuation or just another corrective move before sellers return.
FUNDAMENTAL ANALYSIS
Gold remains sensitive to the U.S. dollar, Treasury yields, and market expectations around interest rates. After the recent decline, the current rebound may be supported by technical buying from lower levels and short-term profit-taking from sellers.
For now, the technical structure is giving the clearest signal. Price has reacted from support, but buyers still need to break through the resistance zones before the bullish view becomes stronger.
TECHNICAL ANALYSIS – SMC + FIBONACCI
From an SMC perspective, gold has respected the strong support zone near 3,960 and created a strong bullish reaction. This shows that sellers lost momentum at the lower area, while buyers started to defend the market.
The current buy order zone around 4,036 is very important. As long as gold stays above this area, the short-term bullish recovery remains valid.
The recent pullback also respected the Fibonacci reaction area, showing that buyers are trying to hold structure instead of allowing price to fall back into the previous low. This gives the chart a cleaner recovery setup.
The first resistance is around 4,090 – 4,100. If gold breaks above this area, the next major resistance sits around 4,115 – 4,125. This zone is important because it aligns with the previous reaction area and could decide whether buyers can continue the move.
Above that, the stronger sell price reaction zone is around 4,155 – 4,165. If gold reaches this area, sellers may defend again, so confirmation is still needed before expecting a full bullish breakout.
KEY PRICE ZONES TO WATCH
Current price: 4,069
Buy order zone: 4,036
Short-term support: 4,036 – 4,045
Nearest resistance: 4,090 – 4,100
Key resistance: 4,115 – 4,125
Sell price reaction zone: 4,155 – 4,165
Strong support: 3,960 – 3,970
Bullish continuation target: 4,155 – 4,165
Invalidation for short-term bullish view: Below 4,036
TRADING SCENARIOS
Buy Scenario – Priority Recovery View
If gold continues to hold above the 4,036 buy order zone, I will watch for a bullish continuation setup.
Buy Zone: 4,036 – 4,045
Entry: Bullish rejection, liquidity sweep, lower-timeframe bullish CHoCH, or strong bullish displacement from the buy zone
SL: Below 4,036 or below the nearest swing low
TP1: 4,090 – 4,100
TP2: 4,115 – 4,125
TP3: 4,155 – 4,165
Breakout Buy Scenario
If gold breaks and holds above 4,100, buyers may continue pushing price toward the higher resistance zone.
Buy Condition: Clean breakout above 4,100, followed by retest and bullish confirmation
Target: 4,115 – 4,165
Sell Scenario – Reaction From Resistance
Sell is not the first view while gold stays above 4,036. However, if price reaches 4,115 – 4,165 and shows rejection, a short-term pullback may appear.
Sell Zone: 4,115 – 4,165
Entry: Bearish rejection, failed breakout, or lower-timeframe bearish CHoCH
TP1: 4,090
TP2: 4,045
TP3: 4,036
Invalidation: If price breaks and holds above 4,165, the sell reaction idea becomes weaker.
MY VIEW ON GOLD
My current view for gold is short-term bullish recovery while price holds above 4,036.
The chart has improved after the bounce from strong support, and buyers are now trying to build a cleaner continuation structure. But the real test is not the current price. The real test is how gold reacts around 4,100 and 4,115 – 4,125.
If buyers break these levels with strength, gold may continue toward the 4,155 – 4,165 sell reaction zone. But if rejection appears there, the market may pull back again to retest the buy order area.
For now, gold is recovering — but the next resistance will tell us whether buyers are truly in control.
Do you think gold can break above 4,125 and continue toward 4,165, or will sellers defend the resistance again?
Trading is a journey. The destination is mastering yourself
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Trading is a journey. The destination is mastering yourself
t.me/+qqEvv7Li9Tg2NTE1
t.me/+qqEvv7Li9Tg2NTE1
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.